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EBay v. Bidder's Edge

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362:, the Fifth Circuit said "Since the spider does not cause physical injury to the chattel, there must be some evidence that the use or utility of the computer (or computer network) being 'spiderized' is adversely affected by the use of the spider. No such evidence is presented here. This court respectfully disagrees with other district courts' finding that mere use of a spider to enter a publicly available web site to gather information, without more, is sufficient to fulfill the harm requirement for trespass to chattels." 292:
because other companies might follow BE's example: "If the court were to hold otherwise, it would likely encourage other auction aggregators to crawl the eBay site, potentially to the point of denying effective access to eBay's customers. If preliminary injunctive relief were denied, and other aggregators began to crawl the eBay site, there appears to be little doubt that the load on eBay's computer system would qualify as a substantial impairment of condition or value."
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likelihood of prevailing on the trespass claim to support eBay's requested injunctive relief. Because the court found eBay entitled to the relief requested based on its trespass claim, the court did not address the remaining claims. The opinion first addressed the merits of the trespass claim, then BE's arguments regarding copyright preemption of the trespass claim, and finally the public interest.
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eBay wanted BE to access the eBay system only when a BE user queried the BE system. Doing so would increase the accuracy/currency of the data BE presented to its users and impose a lighter load on eBay's network. BE accessed eBay approximately 100,000 times a day, constituting about 1.53% of eBay's
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Bidder's Edge ("BE") was founded in 1997 as an "aggregator" of auction listings. Its website provided a database of auction listings that BE automatically collected from various auction sites, including eBay. Accordingly, BE's users could easily search auction listings from throughout the web rather
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The parties argued that the Internet would cease to function if, according to eBay, personal and intellectual property rights were not respected, or, according to BE, if information published on the Internet could not be universally accessed and used. The court suspected that the Internet would not
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Nevertheless, the court found that although BE's interference was not substantial, "any intermeddling with or use of another's personal property" established BE's possessory interference with eBay's chattel. Further, BE's use of eBay's bandwidth and system resources, even though small, harmed eBay
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court considered the eBay court analysis, which stated that if BE's activity were allowed to continue unchecked, it would encourage other auction aggregators to engage in similar searching which would cause eBay irreparable harm. In analyzing this point, the Hamidi court stated,"e do not read as
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eBay and Bidder's Edge settled their legal disputes in March 2001. As part of the settlement, Bidder's Edge paid eBay an undisclosed amount and agreed not to access and re-post eBay's auction information. The settlement also required BE to drop its appeal of the preliminary injunction. Meanwhile,
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During this time, the parties contemplated striking a formal license agreement. These negotiations did not conclude successfully because the parties could not agree on technical issues. Subsequently, in early 1999, BE added auction listings from many other sites in its database, including eBay's.
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On November 2, 1999, BE issued a press release indicating that it had resumed including eBay auction listings on its site. On November 9, 1999, eBay sent BE a letter reasserting that BE's activities were unauthorized, insisting that BE cease accessing the eBay site, alleging that BE's activities
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eBay argued that BE's use was unauthorized and intentional. The court said that eBay had not permitted BE's activity simply by having a website available over the Internet. BE had violated eBay's terms of use and ignored eBay's requests to stop using its crawlers. BE responded that it was not
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BE filed antitrust counterclaims on February 7, 2000. The counterclaims charged eBay with monopolization, attempted monopolization, unfair business practices and interference with contractual relations. On May 24, 2000, District Court Judge Whyte found that eBay had established a sufficient
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causing eBay irreparable harm because its activity (80,000–100,000 hits per day) represented only a small fraction (approximately 1 ½ percent) of the overall activity on eBay's site. eBay acknowledged that BE's activity was only a relatively slight interference with eBay's servers.
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only survive but continue to grow and develop regardless of its ruling. The court noted that particularly on the limited record available at the preliminary injunction stage, it was unable to determine whether the general public interest factors favored or opposed a
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In late August or early September 1999, eBay requested by telephone that BE cease posting eBay auction listings on its site. BE agreed to do so. In October 1999, BE learned that other auction aggregations sites were including information about eBay auctions.
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auction listings in BE's database. It is unclear whether BE scraped these listings from eBay or linked to them in some other format. However, on April 24, 1999, eBay verbally approved BE automatically "crawling" the eBay web site for a period of 90 days.
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Based on its findings, the court issued a preliminary injunction against BE from "using any automated query program, robot, or similar device to access eBay's computer systems or networks for the purpose of copying any part of eBay's auction database."
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total daily requests. BE wanted to periodically crawl eBay's entire website to compile its own auction database, which would increase the speed of BE's response to user queries and allow BE to notify its users when eBay auctions changed.
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As a result, eBay attempted to block BE from accessing the eBay site; by the end of November 1999, eBay had blocked a total of 169 IP addresses it believed BE was using to query eBay's system. BE continued crawling eBay's site by using
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expressing the court's complete view of the issue. In isolation, moreover, would not be a correct statement of California or general American law on this point." As a result, the opinion may be or may no longer be valid precedent.
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BE also argued that eBay engaged in anticompetitive behavior. However, the district court was not obligated to consider the merits of any antitrust counterclaims once it decided that eBay had a likelihood of success on the merits.
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Due to the disagreement regarding technical issues, at the end of the 90-day period, eBay notified BE that its activities were no longer permitted, but eBay offered again to license BE's activities. BE did not accept eBay's offer.
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Further, since eBay was issued, some courts have become more circumspect about the "slippery slope" argument that eBay successfully made about additional crawlers following BE's lead. For example, in
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One day after it filed federal antitrust charges against eBay, Bidder's Edge announced it would be acquired by OpenSite, an auction software company. However, the deal fell through when
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company, successfully used the 'trespass to chattels' theory to obtain a preliminary injunction preventing Bidder's Edge, an auction data aggregator, from using a '
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to evade eBay's IP address blocks. Information requests sent through such servers cannot easily be traced back to the originating
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Bidder's Edge intentionally and without authorization interfered with eBay's possessory interest in the computer system; and
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Despite the integration of many websites' listings, nearly 69% of the listings in BE's database were from eBay.
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federal court. eBay moved for a preliminary injunction on the following causes of action:
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constituted a trespass of eBay's chattels and offering to license BE's activities.
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The court said that eBay's trespass to chattels claim required it to show that:
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United States District Court for the Northern District of California cases
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Bidder's Edge's unauthorized use proximately resulted in damage to eBay.
302: 223: 198: 144: 464: 347:, a case interpreting California's common law trespass to chattels. 147:) disallowed crawling of auction listings without prior permission. 42:
United States District Court for the Northern District of California
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In 2003, the California Supreme Court implicitly overruled the
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White Buffalo Ventures LLC v. University of Texas at Austin
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False advertising under the Lanham Act, 15 U.S.C. § 1125(a)
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Bidder's Edge shut down its website on February 21, 2001.
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eBay sued Bidder's Edge on December 10, 1999, in the
136:than having to go to each individual auction site. 731:White Buffalo Ventures, LLC v. University of Texas 800: 680:"EBay, Bidder's Edge Settle Suits on Web Access" 255:Interference with prospective economic advantage 187: 237:Computer Fraud and Abuse Act, 18 U.S.C. § 1030 793:Ticketmaster L.L.C. v. RMG Technologies, Inc. 322:Subsequent developments and negative history 703: 603:"Bidder's Edge pushes Web site over cliff" 150:In early 1998, eBay allowed BE to include 115:doctrine to online activities. In 2000, 523: 629:"eBay, Bidder's Edge end legal dispute" 450: 448: 446: 444: 442: 440: 438: 436: 434: 432: 430: 428: 426: 424: 422: 420: 418: 416: 414: 412: 410: 408: 406: 404: 402: 400: 398: 396: 394: 271: 801: 392: 390: 388: 386: 384: 382: 380: 378: 376: 374: 130: 524:Hoffmann, Jay (September 15, 2020). 519: 517: 515: 479: 477: 171:Further developments leading to suit 371: 13: 557:. January 16, 1999. Archived from 295: 14: 840: 748: 704:Ina Steiner (February 16, 2001). 512: 474: 143:) and "robot exclusion headers" ( 485:"EBay Fights Spiders on the Web" 29: 829:United States property case law 723: 706:"Bidder's Edge Shuts Its Doors" 697: 211:Northern District of California 814:2000 in United States case law 672: 647: 621: 595: 565: 543: 1: 579:. May 4, 2001. Archived from 365: 188:IP address blocking and proxy 461:100 F. Supp. 2d 1058 7: 754:Text of is available from: 204: 10: 845: 573:"cgi.ebay.com/robots.txt" 551:"www.ebay.com/robots.txt" 139:eBay's "User Agreement" ( 97: 92: 82: 77: 63: 55: 47: 37: 28: 23: 312: 530:The History of the Web 303:preliminary injunction 456:eBay v. Bidder's Edge 339:eBay v. Bidder's Edge 108:eBay v. Bidder's Edge 24:eBay v. Bidder's Edge 736:420 F.3d 366 561:on January 16, 1999. 272:Trespass to chattels 218:Trespass to chattels 113:trespass to chattels 99:trespass to chattels 526:"Chapter 4: Search" 809:2000 in California 710:EcommerceBytes.com 471:from the original. 243:Unfair competition 230:Trademark dilution 131:Origins of dispute 635:. CBS Interactive 609:. CBS Interactive 493:. July 31, 2000. 330:bought OpenSite. 261:Unjust enrichment 235:violation of the 104: 103: 836: 781: 775: 772: 766: 763: 757: 743: 733: 727: 721: 720: 718: 716: 701: 695: 694: 692: 690: 676: 670: 669: 667: 665: 651: 645: 644: 642: 640: 625: 619: 618: 616: 614: 599: 593: 592: 590: 588: 569: 563: 562: 547: 541: 540: 538: 536: 521: 510: 509: 507: 505: 481: 472: 467: 2000), 458: 452: 249:Misappropriation 78:Court membership 33: 21: 20: 844: 843: 839: 838: 837: 835: 834: 833: 819:EBay litigation 799: 798: 786:Intel v. Hamidi 779: 773: 770: 764: 761: 755: 751: 746: 729: 728: 724: 714: 712: 702: 698: 688: 686: 678: 677: 673: 663: 661: 653: 652: 648: 638: 636: 627: 626: 622: 612: 610: 601: 600: 596: 586: 584: 571: 570: 566: 549: 548: 544: 534: 532: 522: 513: 503: 501: 483: 482: 475: 454: 453: 372: 368: 344:Intel v. Hamidi 324: 315: 298: 296:Public interest 274: 207: 190: 173: 133: 17: 12: 11: 5: 842: 832: 831: 826: 821: 816: 811: 797: 796: 789: 782: 768:Google Scholar 750: 749:External links 747: 745: 744: 722: 696: 671: 655:"The Recorder" 646: 620: 594: 583:on May 4, 2001 564: 542: 511: 473: 369: 367: 364: 328:Siebel Systems 323: 320: 314: 311: 297: 294: 285: 284: 281: 273: 270: 265: 264: 258: 252: 246: 240: 233: 227: 221: 206: 203: 189: 186: 172: 169: 132: 129: 121:online auction 102: 101: 95: 94: 90: 89: 84: 80: 79: 75: 74: 65: 61: 60: 57: 53: 52: 49: 45: 44: 39: 35: 34: 26: 25: 15: 9: 6: 4: 3: 2: 841: 830: 827: 825: 822: 820: 817: 815: 812: 810: 807: 806: 804: 795: 794: 790: 788: 787: 783: 778: 769: 760: 759:CourtListener 753: 752: 741: 737: 732: 726: 711: 707: 700: 685: 681: 675: 660: 656: 650: 634: 630: 624: 608: 604: 598: 582: 578: 574: 568: 560: 556: 552: 546: 531: 527: 520: 518: 516: 500: 496: 492: 491: 486: 480: 478: 470: 466: 462: 457: 451: 449: 447: 445: 443: 441: 439: 437: 435: 433: 431: 429: 427: 425: 423: 421: 419: 417: 415: 413: 411: 409: 407: 405: 403: 401: 399: 397: 395: 393: 391: 389: 387: 385: 383: 381: 379: 377: 375: 370: 363: 361: 356: 353: 348: 346: 345: 340: 335: 331: 329: 319: 310: 306: 304: 293: 289: 282: 279: 278: 277: 269: 262: 259: 256: 253: 250: 247: 244: 241: 238: 234: 231: 228: 225: 222: 219: 216: 215: 214: 212: 202: 200: 196: 195:proxy servers 185: 181: 177: 168: 164: 160: 157: 153: 152:Beanie Babies 148: 146: 142: 137: 128: 126: 122: 118: 114: 110: 109: 100: 96: 91: 88: 85: 83:Judge sitting 81: 76: 73: 70: 66: 62: 58: 54: 50: 46: 43: 40: 36: 32: 27: 22: 19: 792: 785: 730: 725: 713:. Retrieved 709: 699: 687:. Retrieved 683: 674: 662:. Retrieved 658: 649: 637:. Retrieved 632: 623: 611:. Retrieved 606: 597: 585:. Retrieved 581:the original 576: 567: 559:the original 554: 545: 533:. Retrieved 529: 502:. Retrieved 488: 455: 359: 357: 351: 349: 342: 338: 336: 332: 325: 316: 307: 299: 290: 286: 275: 266: 208: 191: 182: 178: 174: 165: 161: 149: 141:terms of use 138: 134: 107: 106: 105: 87:Ronald Whyte 51:May 24, 2000 18: 16:Leading case 742: 2005). 341:opinion in 69:F. Supp. 2d 59:99-cv-21200 56:Docket nos. 803:Categories 366:References 199:IP Address 145:robots.txt 535:August 2, 504:August 2, 499:1059-1028 465:N.D. Cal. 740:5th Cir. 715:June 20, 689:June 20, 664:June 20, 639:June 20, 613:June 20, 469:archived 205:Lawsuits 93:Keywords 64:Citation 684:latimes 659:law.com 125:crawler 48:Decided 780:  777:Justia 774:  771:  765:  762:  756:  738: ( 734:, 587:May 4, 497:  463: ( 459:, 352:Hamidi 490:Wired 313:Order 156:Furby 119:, an 38:Court 717:2015 691:2015 666:2015 641:2015 633:CNET 615:2015 607:CNET 589:2001 577:eBay 555:eBay 537:2024 506:2024 495:ISSN 350:The 154:and 117:eBay 72:1058 67:100 257:and 805:: 708:. 682:. 657:. 631:. 605:. 575:. 553:. 528:. 514:^ 487:. 476:^ 373:^ 305:. 719:. 693:. 668:. 643:. 617:. 591:. 539:. 508:. 263:. 251:, 245:, 239:, 232:, 226:, 220:,

Index


United States District Court for the Northern District of California
F. Supp. 2d
1058
Ronald Whyte
trespass to chattels
trespass to chattels
eBay
online auction
crawler
terms of use
robots.txt
Beanie Babies
Furby
proxy servers
IP Address
Northern District of California
Trespass to chattels
False advertising under the Lanham Act, 15 U.S.C. § 1125(a)
Trademark dilution
Computer Fraud and Abuse Act, 18 U.S.C. § 1030
Unfair competition
Misappropriation
Interference with prospective economic advantage
Unjust enrichment
preliminary injunction
Siebel Systems
Intel v. Hamidi

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